Luxury Retail Brands to Avoid in 2013

2/25/2013 3:10PM

Some luxury retailers find themselves in a difficult position in 2013 after strategy missteps that have left them with less revenue, lower profits, and fewer shoppers. MarketWatch's Christopher Noble discusses which luxury brands to avoid. (Photo: AP)

This transcript has been automatically generated and may not be 100% accurate.

I ... the ... resort MarketWatch in sentences go I'm here to talk about three retailers may have an unlucky two thousand and thirteen for the first to offer about her Tiffany and Coach these are well-known luxury brands ... and the problems they encountered this past year or so and then set them up report two thousand and thirteen ... they basically went down market during the mid two thousand when the whole class of consumers rose ulcer aspirational upper middle-class consumers ... and rather than sticking to their real estate luxury Ritz these two companies were looking for new customers in this new upper middle class ... and then when the financial crisis into thousandeight two thousandnine ... this whole class of customers disappeared ... unless Tiffany puts that much much harder ... row to hoe ... in terms of getting these customers to buy things ... the other prominent Tiffany and Coach expressionist times that their real exclusive ... high end luxury customers ... went even higher up the luxury ... of changing companies like old guard ... and this is left as Tiffany and Coach with a bit of a problem going forward ... and not a lot of financial analysts are predicting that the have a tough year ... the per capita men talk about today is a slightly different cases company called American Apparel Mrs Knight classic luxury brand ... it is a brand that also try to key in on this aspirational upper middle-class after the consumer ... and the problems that American apparel accounted for not ... really economic they had a bunch of problems related to the operational efficiencies ... I they overspent ... and also Herbert perky chairman and founder ... who ... got into some problems with ... has losses falling as the company and other things ended up costing a lot of money ... as a result the company almost one out of business and had to get a cash infusion two thousand ... and the result of the night that going for it ... it is remains a highly controversial in terms of its first advertising ... and and it's not set up for good year two thousand and thirteen ...